Committee Preps Report To Commissioners On New Budget

Cannon County property tax payers will be able to breathe a sigh of relief if the County Commission’s budget committee’s recommended 2008-2009 operating budget passes later this month. Committee members met for their eleventh and last meeting on Tuesday to finalize their recommendation. The group voted unanimously to propose that the current tax rate not change next year. Some of the highlights of the budget include:

a 3 percent pay raise for all county employees, increased funds to cover insurance payments, increased funds to cover gasoline and fuel costs, increased funds to cover utility costs, increased funds to provide more equipment for the county fire departments, and increased funds for vehicle purchases at the sheriff’s department

This year, Cannon County will absorb increased expenditures by taking money from its fund balance. Members stressed that using the fund balance to cover increased expenditures was not something that the County should do every year but, considering the hard financial times most families find themselves in this year, it is appropriate. Members reached a funding decision after being encouraged by a slightly higher than usual fund balance. Even though members are using roughly $200,000.00 of the fund balance, they believe this amount will be reduced as the fiscal year progresses based on the fact that each county department may not spend all of their budgeted funds. County Executive Mike Gannon told members that county officials and department heads should be commended for saving money wherever possible and, in most cases, turning money back into the County at the end of the fiscal year. Gannon said, if this continues, the impact of taking money from the fund balance will be minimal. Members also learned during the meeting that Sheriff Billy Nichols turned over $100,000.00 in unused funds back into the County, which helped raise the fund balance.

Of Cannon County’s $2.32 cent property tax rate, .85 cents goes to the Board of Education, $1.29 goes to the County General Fund, .14 cents goes into debt services and .4 cents goes to solid waste. Members also noted that each fund will already receive a slight increase without taxes being raised due to the fact that a penny of tax money brings in roughly $400.00 more this year than last year.

Now that the Committee has finished its work, the full Commission will consider the proposal. Each member will be given a copy of the entire budget to study prior to the Commission’s July 19th meeting. If the budget passes, it will mean that all property tax payers in Cannon County will get a year off from a tax increase as the Town of Woodbury voted earlier this year not to raise property taxes either.